Ways to Wealth: You can find list for foreclosure clean-out jobs on the Internet

I have had so many follow-up questions to the foreclosure clean-out business, I will answer them here.

Margaret: I have a commercial cleaning business and would also like to take on some additional work cleaning out foreclosure homes. How would I get started?

Elaine: Most foreclosure clean-out jobs come from the Realtors who list the foreclosures or the banks that foreclosed on the properties. To find Realtors who exclusively list foreclosure homes you can go to foreclosuresUs.com or other Internet sites devoted to foreclosure listings and note the Realtors' names and numbers. I have found that 90 percent of the work comes from these Realtors. In some cases, they will refer you to the bank that gave them the foreclosure listing for this type of work.

James: What are people being paid to do foreclosure clean-out of homes?

Elaine: Generally people are being paid around $1,500 for a total clean-out of a house completely filled with furniture and debris (requiring two to three men an entire day or more). Most people are receiving $500-$800 when there is less to remove (requiring one man one day or less).

Jake: I am an out-of-work carpenter and was wondering if the foreclosure clean-out can require repair work also?

Elaine: Yes, many clean-out companies also bid on the repair work required for a foreclosure to be "sellable." These are usually separate bids, but many Realtors are glad to have a resource that can do both.

Also, there is on-going lawn cutting needed at most of these houses and that work can also be bid on separately.

Ray: How do I prepare a bid to be considered for this type of work?

Elaine: First ask if there is a standard bid form on which you should submit your bid. (In the case of HUD and other federal government foreclosures, they have standard forms.)

If no form is provided, itemize the amount of time the removal and disposal of the furniture and debris will require. Then determine an amount to do all of the work. It is advisable you provide "before" and "after" pictures of the entire house (including front and back yards, attic, garage and basement). The" before" pictures should accompany your bid. The "after" pictures should accompany your invoice. (Be sure and photograph the presence or absence of appliances, air-conditioning units, water heaters and furnaces.)

Will: If I hire a couple of men to help me, will I have to pay workmen's compensation?

Elaine: According to the State of Tennessee, you are only required to pay workmen's compensation when you have five or more full or part-time employees. The exception is construction work where even one employee (full or part-time) requires you to pay workmen's compensation.